Oscillatory activity in the gamma-band range has been related both to gestalt perception and to cognitive functions such as attention, learning, and memory. After giving a brief account of recent findings from electroencephalography and intracortical recordings, the present review will focus on spectral activity in the magnetoencephalogram. Here, gamma-band effects are topographically more local and involve higher frequencies than in the electroencephalogram. Bottom-up-driven auditory spatial mismatch detection elicits gamma-band activity over posterior parietal cortex, whereas auditory pattern mismatch processing leads to gamma-band enhancements over anterior temporal and inferior frontal regions. These topographies support representations of auditory spatial and pattern information in the putative dual auditory "where" and "what" pathways, respectively. During top-down-guided auditory spatial and pattern-working memory tasks, prefrontal gamma-band increases are observed in addition to activations over putative auditory stream areas. Moreover, stimulus maintenance in working memory is accompanied by coherence increases between sensory and prefrontal regions. Gamma-band topographies in magnetoencephalogram are highly comparable with hemodynamic brain imaging studies but yield additional information on the temporal dynamics of activations and connectivity patterns. In summary, magnetoencephalographic gamma-band activity revealed both local synchronization patterns and cortico-cortical interactions accompanying cognitive processes at a good spatial and high temporal resolution.